- NeoPhotonics doesn’t have much of a profitable history, at least not the last 5 years.
- The company is very dependent on China, and as long as Chinese demand doesn’t recover, the shares aren’t going anywhere.
- However, should Chinese demand come back, which it will at some time, a considerable amount of operational leverage could kick in.
- This is because the company shed legacy business, has already build a lot of capacity and has reduced operational cost.
NeoPhotonics – The Biggest Casualty Of The China Slowdown
August 28th, 2017 · No Comments